• • If the economy prospers, shares of RTF, Inc., are expected to return 12 percent. If the economy enters a period of recession, then RTF is expected to return only 4 percent. The probability of a boom is 76 percent, while the probability of a recession is 24 percent. 

  • What is the variance of RTF, Inc. stock returns?

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Answer rating: 100% (QA)

To calculate the variance of RTFIncstock returnswe need to consider the expected returns and probabi... View the full answer